For those who are thinking about buying cryptocurrency but do not know where to start, Dan Schatt and Domenic Carosa of Earnity are keen on helping them by developing a simple and intuitive platform where users can buy, sell, and hold crypto and DeFi assets.
With cryptocurrency becoming an increasingly popular purchase, it is essential to learn the right strategies before jumping on the crypto bandwagon.
Research the Market
The crypto market is highly volatile; market values fluctuate heavily every day. It is always advisable to carefully study the market and options before diving into a particular cryptocurrency or DeFi asset. Seeking guidance from experts is also helpful before spending any money.
Choose the Right Mix of Storage
One of the advantages of cryptocurrency over traditional financial systems is the security it provides users. It is better to employ additional safety measures as added protection for the funds. One way of securing digital assets is storing them in an appropriate mix of hot and cold storage.
On the one hand, hot storage refers to an online digital wallet that will allow a user to move in and out of positions quickly. On the other hand, cold storage is an offline wallet, usually an encrypted hard drive. To prevent hackers from gaining access to funds, you should keep at least three-quarters of long-term funds inside a cold wallet, while some funds should be stored in a hot wallet to remain liquid.
Like any purchase, it pays to diversify a crypto portfolio by avoiding buying too much of a single cryptocurrency. Spreading money out among various digital assets can prevent the risk of being overexposed. According to Dan Schatt and Domenic Carosa, the Earnity platform will allow users to amass many types of crypto assets. It will also feature a themed collection model, letting Earnity users easily participate and access a wide array of cryptocurrencies.